An Investment in start-up company Family Plan

The Southwest Angel Network has made an investment in Family Plan, which works to reduce the stress on a family following a divorce.  Using Family Plan, parents can manage custody scheduling on a shared calendar in real time, arrange and make payments instantaneously and with authentication, and make and log texts and emails to support open communication and maintain a reliable record. No other mobile app provides this suite of functions. This app has been developed with input from a team of divorced parents, divorce lawyers, and ex-judges to address both an important social need and a large market opportunity.

Family Plan was founded and is led by Mark and Laura MacMahon, from Maine, who founded the company for the same reason many companies are founded – they had a problem they wanted to solve, and the available solutions just weren’t good enough. In the years after Mark’s divorce, he found that he was spending hours a week just trying to stay on top of managing his schedule, finances, and communications all related to the kids. Mark and Laura decided to build a set of tools that would help families thrive after a breakup – reducing conflict along the way.

Supporting Austin Title 1 High-school Students

Members of the Southwest Angel Network were mentors in the recently completed Greater Austin Hispanic Chamber of Commerce’s Superstars Competition. This program helps students at five Austin Title 1 high schools to develop start-up company business plans and presentation skills.

At the recent city-wide final competition, our network awarded the Social-Impact award to Maria Hernandez and Lizett Abrego, pictured below. They are students at the Travis Early College High School.  

At our May 9th dinner pitch event, in addition to hearing the normal company pitches, Maria and Lizett will be presenting us their business plan for their company “Hope”.

Furthermore, our network has raised a college scholarship fund through the recent Amplify Austin giving day, and we will present the scholarship to Maria and Lizett at the meeting.

The Southwest Angel Network is not your ordinary angel network. We care deeply about social-impact and we strongly support diverse management teams. And yes, we also seek to make a return on our investments.

 

“Efficacy” is my new favorite, social-impact word

From the desk of Bob Bridge.

Efficacy is defined as “the ability to produce a desired or intended result”.

It is often used to describe the effectiveness of pharmaceuticals. Does this drug demonstrate the expected impact on a certain disease? And is the drug effective in a large percentage of the treated patients?

The Southwest Angel Network, which focuses on social impact companies, sees many companies who are working earnestly and diligently to address significant societal or environmental challenges. The questions that I ask of the companies include, “Can you provide evidence of the impact-efficacy of your product or service?” and “What is the magnitude of your impact on society?”

For example, most of us would agree that early STEM education for under-represented populations is beneficial to society. Such training should increase the lifetime earning of those under-represented individuals who are today under-represented in technology fields. And technology companies should benefit from having a larger and more under-represented employee pool to draw from.

Consider a company that comes to us waving the STEM impact flag. They state that their STEM education lab tools are significantly cheaper than those of their competitors, and so our network should fund them. Our requests include:

  • Please show us evidence that your product offering has a higher efficacy in terms of improving educational outcomes compared to competing products. When a market segment has many competing products to choose from, what is the impact on educational outcomes of adding one more product to the mix?
  • One requirement for having a significant impact on STEM educational outcomes is being able to have a company’s offering adopted by the largest possible number of classrooms. So please show us evidence that your sales plan has efficacy in terms of penetrating the tough-to-sell-to-education market.

Consider a company that comes to us and states that they can reduce prescription medication prices for low-income individuals, allowing millions of individuals to pay for the medications that they need. What a wonderful idea! The efficacy question is, “Can you reduce the prices far enough to actually enable significantly more people to pay for their meds?”

Consider a company that comes to us and states that they can improve financial security in retirement for people who are today in their 50s. They accomplish this by offering a comprehensive and well-thought-out online retirement planning tool. Efficacy questions include:

  • Do you have evidence that your tools change the spending, savings, and/or investment behaviors of your tool users? Without a change in behavior, there is no societal impact.
  • Consumers today have a wide range of retirement products and services available to them. Can you demonstrate that your tools have higher efficacy than the plethora of competing options in terms of improving financial retirement outcomes?
  • After you have demonstrated that your tools have high efficacy, can you now please describe the efficacy of your go-to-market plan? If not many folks use your tools the overall social-impact is small.

Bob Bridge, Executive Director

National recognition for the Southwest Angel Network

Bob Bridge, the angel network’s Executive Director, has been recognized nationally as a leader in social impact investing. Bob recently served on a Social Impact panel at the recent national ACA  Leadership Conference in Houston. Bob has also been invited to moderate a panel discussion on “The Growth of Impact Investing” program at the ACA’s April national Summit in Boston.

Investments now total over $1M

With a follow-on investment in OneSeventeen Media and an initial investment in College Consortium, the Southwest Angel Network has now made over $1M in cumulative investments since its founding at the beginning of 2016.

The Southwest Angel Network has invested in College Consortium

College Consortium, led by a highly experienced team,  provides tools that allow colleges to offer students more course offerings, allowing students to graduate in a shorter time, at lower cost and with less student debt. College Consortium can be especially impactful for students whose life-changes may have discouraged them from finishing their degrees.

The Southwest Angel Network has taken “The Startup Diversity and Inclusion Pledge”

Key elements of the pledge that are most relevant to our angel network are:

  • Taking a self-defined percentage of pitch meetings, starting at 10%, from women, minorities, and people who identify as LGBTQ to help open up new deal sources
  • Mentoring women, minorities and people who identify as LGBTQ
  • Encouraging portfolio companies and their boards to take the pledge

See more details

Portfolio company OneSeventeen Media in the News!

A wonderful story about Beth and Amy, and their work to better the lives of children and youth.

“Beth and Amy had different early childhood experiences. As co-founders, this provides them a unique yin–yang approach to product development. They’re both motivated to build world class mobile apps that help today’s kids have safe access to information at their fingertips for help anytime, anywhere.”

Women Entrepreneurs Spotlight: OneSeventeen Media

Juan Thurman joins the Southwest Angel Network management team

Juan has joined as a Director and will be assisting the Bob in managing the network.

Juan has extensive experience as a Mentor, Startup Investor and Sales Consultant, and is focused on helping early stage companies get to the next level. He particularly enjoys working with B2B SaaS companies, platforms, communications, health tech, beer and social good.

He is passionate about helping teams find customers, listening to their challenges and delivering win-win solutions.

He is currently a Venture Partner at NextGen Venture Partners, and has held executive sales positions at Retreaver and Twilio. Juan has also has contributed in sales and technical areas at seven other companies, including both start-up companies and IBM.

My Path to Social Impact Investing

From the desk of Juan Thurman:

I have always been interested in Science and Technology.  As a boy, one of my favorite authors was Isaac Asimov.  He told fantastic, page turning stories based on what science and technology could one day make possible (and some that has come to pass, even in Asimov’s life time).  Of course, the technology was super cool, but more importantly it improved humanity.  His robots did the dangerous/hard/mundane tasks humans no longer wanted to do.  Self- driving cars were just one part of the automated transportation infrastructure, solar energy check and of course space travel was available to most.

This interest has led me to a fascinating and fulfilling career.  From my first job engineering, designing and testing off- road vehicles to make sure their large tires protected sensitive environments like the permafrost; to more recently, leading a team of dedicated professionals selling communication solutions that powered the creation of apps to help depressed patients feel connected,enable municipalities to alert citizens of harmful weather events and more.    Most of my career has been in technology sales, bringing education, innovation and efficiency to businesses that needed them.  Yes, many deals were straight forward and only lead to incremental cost savings.  But, the deals that I found most interesting and motivating were those that made people’s lives better.  I can still remember talking to an entrepreneur who asked if he could use cloud communications to better schedule home health aids or another who was connecting teachers, parents and students.

Recently, like many of you through happenstance and luck, I was re-evaluating my career and goals.  So, I reached out to a number of people that I admire and respect and had some great conversations.  (I encourage you to do the same from time to time).  One of the people I spoke to was Bob Bridge, Executive Director at Southwest Angel Network (SWAN).  He told me about SWAN and the amazing social impact companies that they have funded.  He then invited me to their next pitch dinner and after listening to companies working to reduce food waste, ensure the elderly get to their medical appointments on time, and improve the quality of our drinking water, I joined as an Angel.  I have had the opportunity to learn from some great Angels, mentors and supporters as well as some amazing and interesting entrepreneurs.

So when Bob, asked if I would formally help him run and grow SWAN, I of course said yes.  There are a great number of entrepreneurs out there who not only want to start a new company, grow that company and become profitable, but also want to positively impact this world we all share.  They need our help.  That means access to capital, mentoring, guidance and support.  Bob, has started an important, vibrant and growing angel network.  I hope to help grow the network and support more entrepreneurs who want to make the world better and drive outstanding returns.

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